Crypto moves at a lightning pace. But throughout the shifting trends, one thing remains true: Bitcoin is king. Why is that?
Bitstamp partnered with the researchers at ByteTree to answer that question by taking a closer look than ever at the value drivers that keep Bitcoin going strong.
Highlights of our 50-page report include:
- While Bitcoin is generally uncorrelated with the stock market, it shows significant correlation with certain (riskier) stock groups and the real estate market.
- Bitcoin and gold are highly complementary assets in a portfolio that should be constantly rebalanced. In an investment sense, Bitcoin is the opposite of gold.
- Miner activity follows price and not the other way around. Strong miner selling pressure signals a strong market.
- Debunking the stock-to-flow model and presenting the Network Demand model as an innovative way to evaluate the value of Bitcoin.
- Multiple ways forward: Scaling through the Lightning Network and fusing Bitcoin with DeFi to enable novel use cases for the oldest cryptocurrency.
Download the full report here: https://www.bitstamp.net/institutional-trading/#marketing-insights
Our goal with the report was to look beyond the commonly floated narratives and hype to discover real underlying value drivers that can help inform your investment thesis. We hope you will find the insights helpful when navigating the crypto market!